FINAL global sourcing Flashcards
(38 cards)
What is the objective of pre-production approval?
Prepare all necessary components for garment production in a timely manner
- Establishing the correct fit is key during this stage
Pre-production approval process
- Exchange samples between sourcer & supplier
- Finalize & approve pre-production samples (PPSs), made with all approved components
- Once PPSs are approved, full garment production begins
What are the 4 key pieces of information that must be on the label?
- Fiber content
- Country of origin
- Manufacturer or responsible party
- Care instructions
Rules for fiber content
- 3% tolerance
- Fibers under 5% weight can be considered “other fibers”
- Wool must always be disclosed for allergies
- Dog or cat fur is prohibited
Rules for country of origin
- Natural fibers: origin is where fiber is grown
-Synthetic fibers: origin is where extrusion occurs - Apparel: origin is where significant assembly occurs
- US made products with imported fabrics must say “made in USA of imported fabrics”
Rules of manufacturer/responsible party
- Must include company name or registered number (RN)
- RNs allow customers to find contact information for inquiries/complaints
Rules of care instructions
- Include guidance on washing, bleaching, drying, ironing, and warnings for special care
What items are not covered by FTC labeling rules
- Shoes
- Gloves
- Hats
- Handkerchiefs
- Belts
- Neckties
- Disposable items
What are the 5 quality regulations to consider before production/importing?
- Flammability standards
- Regulations on toys and children’s articles with small parts
- Consumer Product Safety Improvement Act of 2008
- Voluntary guide for drawstrings in children’s outerwear
- Other restricted substances
What is the Consumer Product Safety Improvement Act of 2008?
Focuses on standards for children’s products
What is the Voluntary Guide for Drawstrings in Children’s Outerwear?
Prevents safety hazards associated with drawstrings in children’s clothing
What is logistics?
The systematic management of all activities required to move & distribute products throughout the supply chain, including the flow & storage of raw materials and finished products
Materials management vs. Physical distribution
Materials management: Movement of materials from the supply source to the point of manufacture, assembly, or distribution (inbound materials)
Physical distribution: Movement of materials from the firm’s distribution center or manufacturing site to the point of sale to customers (outbound materials)
What are the goals of logistic decisions?
Ensure products are available at the right
- Price
- Place
- Time
- Quality/condition
- Minimal societal and environmental damage
3 approaches to logistics decisions
- Systems approach
- Total cost approach
- Opportunity cost approach
Systems approach
Balances inbound & outbound activities
- Benefits the entire business system or earth system
Total cost approach
Prioritizes total cost over individual logistics costs
Opportunity cost approach
Considers lost value from choosing one logistic option over another
What are the 4 logistics functions
- Labeling
- Packing vs Packaging
- Traffic management
- Inventory & storage
Logistic function: Labeling
legal and handling purposes
Logistic function: Packing vs packaging
Packing: Transportation & handling during transit
Packaging: Marketing & sales focus
Logistic function: traffic management
Selection of transportation modes (air, water, land) based on cost, speed, and environmental impact
Logistic function: Inventory & storage
Ensures constant flow of goods, reducing overall merchandise costs
Transportation Modes
Air: Most expensive but fast
Water: Low cost but slow
Land: Medium cost & speed
